The Clorox Company (CLX): History, Ownership, Mission, How It Works & Makes Money

Ever wondered how The Clorox Company (CLX), a household name synonymous with cleaning and disinfecting, maintains its relevance in today's market? With a market capitalization of $17.42 billion as of April 2025, and a commitment to sustainability that earned it the top spot on Barron's Most Sustainable Companies list for the second consecutive year in 2024, Clorox has proven its adaptability and resilience. Keep reading to discover the history, ownership structure, mission, operational strategies, and revenue generation methods that drive this iconic company.

The Clorox Company (CLX) History

The Clorox Company Founding Timeline

Year established

The company was officially established on May 3, 1913.

Original location

The company was founded in Oakland, California.

Founding team members

The original founding team consisted of:

• Archibald Taft
• Edgar Jacobs
• Rufus Myers
• Charles Husband
• William Hussey

Initial capital/funding

The initial capital investment in 1913 was $15,000, which is equivalent to approximately $450,000 in 2024 when adjusted for inflation.

The Clorox Company Evolution Milestones

The Clorox Company Transformative Moments

• 1913: Founding of Electro-Alkaline Company: The establishment of the Electro-Alkaline Company marked the beginning of what would become a household name. With an initial investment of $15,000, the founders began producing a liquid bleach that would soon revolutionize household cleaning.
• 1916: Renaming to Clorox Chemical Corporation: Recognizing the growing consumer recognition and trust in their flagship product, the company rebranded itself as Clorox Chemical Corporation. This decision underscored the strategic importance of the Clorox brand and set the stage for future expansion.
• 1922: Introduction of Amber Glass Bottles: The introduction of liquid Clorox bleach in amber glass bottles was a game-changer. This packaging innovation not only preserved the product's quality but also made it more accessible and appealing to consumers, significantly boosting sales.
• 1957: Acquisition by Procter & Gamble and Subsequent Divestiture: The acquisition by Procter & Gamble in 1957 was a transformative moment. While it initially provided Clorox with access to greater resources and distribution networks, the subsequent Supreme Court decision in 1969, which mandated Clorox's independence, reshaped the company's strategic direction.
• 1970s-1990s: Diversification and International Expansion: This period marked a significant shift in strategy as Clorox diversified its product portfolio beyond bleach, venturing into new categories such as cleaning supplies, charcoal, and food products. Simultaneously, the company expanded its international footprint, tapping into new markets and diversifying its revenue streams.
• 2020: Surge in Demand Due to the COVID-19 Pandemic: The COVID-19 pandemic brought unprecedented challenges and opportunities. As hygiene became a top priority, demand for Clorox's cleaning and disinfecting products surged. This surge not only underscored the importance of the company's products but also highlighted its role in safeguarding public health.

For more in-depth information, consider reading: Exploring The Clorox Company (CLX) Investor Profile: Who’s Buying and Why?

The Clorox Company (CLX) Ownership Structure

The company operates with a structure where a majority of its shares are held by public investors, while a smaller portion is owned by institutional and insider stakeholders. This mix reflects a balance between widespread public investment and significant influence from major institutional players and company insiders.

The Clorox Company's Current Status

The Clorox Company is a publicly traded entity, listed on the New York Stock Exchange (NYSE) under the ticker symbol CLX. As a publicly-held corporation, its shares are available for purchase by investors on the open market.

The Clorox Company's Ownership Breakdown

Understanding the ownership structure provides insights into who has influence over the company’s decisions and strategic direction. Here’s a breakdown of the ownership composition:

The Clorox Company's Leadership

The leadership team is responsible for setting the strategic direction and overseeing the operations of the company. Key figures include:

• CEO: Linda Rendle continues to lead The Clorox Company, driving its strategic initiatives and growth agenda.
• Board of Directors: A group of individuals with diverse backgrounds and expertise who provide guidance and oversight to the company’s management. As of the latest information, the board includes members with experience in various industries, ensuring a well-rounded perspective on company strategy and governance.

To gain more insights into the investor profile and understand who is investing in The Clorox Company, check out this in-depth analysis: Exploring The Clorox Company (CLX) Investor Profile: Who’s Buying and Why?

The Clorox Company (CLX) Mission and Values

The Clorox Company's mission is to make everyday life better, every day, while its core values emphasize doing what’s right, putting people at the center, and playing to win.

The Clorox Company's Core Purpose

Official mission statement

The official mission statement of The Clorox Company is: 'We make everyday life better, every day.' This concise statement reflects the company's commitment to enhancing the quality of life for consumers through its diverse range of products and brands.

Vision statement

While The Clorox Company does not have a single, universally publicized vision statement, insights into their long-term aspirations can be gleaned from their strategic goals and corporate communications. These suggest a vision focused on:

• Sustainable Growth: Aiming to grow the business responsibly, focusing on long-term value creation while minimizing environmental impact.
• Innovation: Continuously innovating to meet evolving consumer needs and preferences, ensuring its products remain relevant and competitive.
• Global Leadership: Expanding its global presence and strengthening its position as a leader in consumer products.
• Social Responsibility: Making a positive impact on communities and promoting diversity and inclusion within its workforce.

Company slogan/tagline

The Clorox Company has used various slogans and taglines throughout its history to promote its products and overall brand identity. Here are a few examples:

• 'Making everyday life better, every day' This tagline encapsulates the company's overarching goal of improving the daily lives of consumers through its products.

For detailed insights into The Clorox Company's financial well-being, see Breaking Down The Clorox Company (CLX) Financial Health: Key Insights for Investors.

The Clorox Company (CLX) How It Works

The Clorox Company manufactures and markets a diverse array of consumer and professional products, leveraging its well-known brands and efficient operations to maintain a strong market presence.

Clorox's Product/Service Portfolio

Clorox's Operational Framework

Clorox's operations are structured to ensure efficiency from product development to distribution:

• Product Development and Innovation: Clorox invests in research and development to create new products and improve existing ones. This includes focusing on sustainable and environmentally friendly options to meet changing consumer preferences.
• Manufacturing: The company operates manufacturing facilities globally, focusing on optimizing production processes to reduce costs and improve efficiency.
• Supply Chain Management: Clorox manages a complex supply chain, sourcing raw materials and packaging from various suppliers. Effective supply chain management is crucial for maintaining consistent product availability and managing costs.
• Distribution: Products are distributed through a variety of channels, including retail stores (grocery, mass merchandise, specialty stores), e-commerce platforms, and wholesale distributors.
• Marketing and Sales: Clorox employs extensive marketing and sales strategies to promote its brands and products. This includes advertising, promotional campaigns, and in-store displays.

Clorox's Strategic Advantages

Clorox possesses several strategic advantages that contribute to its sustained market leadership:

• Brand Recognition: Clorox has a portfolio of well-known and trusted brands, such as Clorox, Glad, Kingsford, and Brita. Brand recognition drives consumer loyalty and provides a competitive edge.
• Diversified Product Portfolio: The company’s broad range of products reduces its dependence on any single category, providing stability and growth opportunities.
• Strong Distribution Network: Clorox’s extensive distribution network ensures its products are available to consumers across various channels.
• Innovation: Continuous innovation in product development allows Clorox to meet evolving consumer needs and preferences.
• Cost Efficiency: Efficient manufacturing and supply chain management help Clorox maintain competitive pricing and healthy profit margins.

For more insights into the values that guide The Clorox Company, visit Mission Statement, Vision, & Core Values of The Clorox Company (CLX).

The Clorox Company (CLX) How It Makes Money

The Clorox Company primarily generates revenue through the sale of a diverse portfolio of consumer products across various categories, including cleaning and household products, lifestyle products, and professional products.

The Clorox Company's Revenue Breakdown

Here's a look at the revenue streams that drive The Clorox Company, with data reflecting the 2024 fiscal year:

The Clorox Company's Business Economics

The Clorox Company's business economics are influenced by several key factors:

• Pricing Strategies: The company employs a mix of value-based and premium pricing, depending on the product category and competitive landscape.
• Cost of Goods Sold (COGS): Fluctuations in raw material costs (such as resins, pulp, and bleach) and packaging materials can significantly impact profitability.
• Operating Expenses: These include marketing and advertising expenses, which are crucial for maintaining brand visibility and driving sales. Distribution costs also play a significant role.
• Economies of Scale: Clorox benefits from its large scale of operations, allowing it to achieve cost efficiencies in production and distribution.
• Innovation: Continuous innovation in product development helps Clorox maintain a competitive edge and command premium pricing.

The Clorox Company's Financial Performance

Here are key aspects of The Clorox Company's recent financial performance:

• Revenue: For fiscal year 2024, The Clorox Company reported net sales of approximately $7.4 billion.
• Gross Margin: The gross margin stood at around 40%, reflecting the company's ability to manage its cost of goods sold effectively.
• Operating Income: Operating income was approximately $900 million, showcasing the profitability of its core operations.
• Net Income: The company's net income was about $650 million, indicating overall financial health after accounting for all expenses and taxes.
• Earnings Per Share (EPS): The EPS was reported at $5.20, providing a measure of profitability on a per-share basis.
• Cash Flow: Clorox generated strong cash flow from operations, allowing it to invest in growth initiatives, pay dividends, and reduce debt.

To gain more insight into investor activity and ownership trends, check out this related article: Exploring The Clorox Company (CLX) Investor Profile: Who’s Buying and Why?

The Clorox Company (CLX) Market Position & Future Outlook

The Clorox Company holds a strong position in the consumer staples market, driven by its well-known brands and wide distribution network, but faces challenges adapting to changing consumer preferences and increasing competition.

Competitive Landscape

Opportunities & Challenges

Industry Position

The Clorox Company maintains a significant presence in the household and cleaning products industry. Its position is characterized by:

• Established Brand Portfolio: A wide array of trusted brands that command customer loyalty.
• Innovation in Cleaning: Clorox is investing in the development of new cleaning solutions, including those that are more sustainable and effective against emerging pathogens.
• Sustainability Initiatives: Clorox is working towards reducing its environmental footprint through various sustainability programs.

For more insights into the company's values and direction, explore: Mission Statement, Vision, & Core Values of The Clorox Company (CLX).